Based on the Declaration of Cooperation agreement by OPEC+, Nigeria, a member of the global oil cartel, reduced its daily crude oil production by 216,000 barrels all through the month of May. Nigeria makes the bulk of its foreign exchange earnings from crude oil sale. Based on the above, Nigeria will be losing nothing less than N140bn in May and June as it joins OPEC+ in the Declaration of Cooperation agreement on crude oil production cut. Sylva recently explained in a tweet via his verified Twitter handle that the production cut deal was to ameliorate the current situation caused by the COVID-19 pandemic. The difference between its reference production of 1.829kbd with its May 2020 production figures is 216kbd.”Sylva said the country’s current crude oil production had dipped, which was due to efforts in ensuring adequate compliance with the OPEC+ oil cut agreement.

Source: Punch June 07, 2020 23:03 UTC